The DFM Real Estate Index (DFMREI), which reflects the dynamics of real estate companies’ shares on the Dubai Financial Market, fell by 4.71% to 13,359.61 points on Monday, March 9, reaching a daily low of 13,353.18 points, according to exchange statistics.
Over the last five trading sessions, the index has fallen by about 17%, which is close to estimates on social media of “about 20%,” but according to aggregated market data, the decline is actually about 17%.
At the same time, the Dubai market’s broad index (DFMGI) continued to decline amid the US and Israel’s war with Iran and growing nervousness over risks to logistics and infrastructure.
Against the backdrop of the UAE’s deteriorating perception as a “safe haven,” some wealthy clients are already considering moving their assets from Dubai to other financial centers. A number of wealthy Asian clients have made inquiries or taken steps to transfer funds to Singapore and Hong Kong, fearing a protracted conflict and rising risk premiums.
At the same time, market participants surveyed by Reuters emphasize that DFMREI is an exchange indicator (shares of developers and related companies) and can react much faster than the physical housing market, where price changes are recorded with a delay based on transaction data.
